Provident Fund, popularly known as PPF, is an excellent long-term investment cum tax saving instrument. Investment in PPF provides three way taxes saving, {that is amount invested under this scheme is exempted under 80C, interest earned on such deposits i.e. 8% compounded annually is also exempt from tax under 10 (11)}. Further, the amount withdrawn from the PPF account is also fully exempt from taxes. The PPF is a government-backed scheme, and thus is fully insulated from risks. Minimum deposit required in a PPF account is Rs. 500 in a financial year and you can invest upto Rs. 70,000. You can retain your account after maturity (15 years) for any period without making any further deposits. The balance in the account will continue to earn interest at normal rate as admissible on PPF account till the account is closed. It also serves as a retirement planning tool for many of those who do not have any other structured pension plan covering them. Public Provident Fund account can be opened at designated post offices and at designated branches of Public Sector Banks throughout the country. Contribution by individuals can be made in the name of himself, spouse and children. The contribution by a HUF can be made in the name of any member of HUF. Even though it may be noted that the government is putting restriction on such contribution to PPF by HUF, so it is advisable to check the position at the time of making contribution. PPF is also an excellent investment option for the purpose of saving money in the name of a minor child as it does not attract clubbing provisions.  However Joint account is not permissible. However, the investment scheme of PPF is not open for Non-Residents. The unique feature of PPF is that in case of insolvency it will not be attached to the assets of the insolvent.  Withdrawals from your PPF account are allowed during certain years for specific purposes. Timely and efficient tax planning go long way in lowering your total taxes by employing and taking advantages of in-built provisions of tax exemptions, deductions, concessions, rebates, relief’s, allowances and other benefits granted by the tax laws so that the incidence of tax is reduced. We at Taxmantra.com have the expertise to guide you in lowering your tax outgo and thus enhancing your total take away.  We at Taxmantra.com provide full year support solving all your tax issues, in addition to filing of your return of income with excellent tax planning. Please join us now in pursuit of simplifying individual taxation! Alok Patnia Founder and Director at Taxmantra.com